The Hype vs. Reality
AI is everywhere in boardrooms today. Every pitch deck promises "AI-driven insights" or "smart automation." But when it comes to ICT due diligence, boards need more than buzzwords. They need clarity on how AI can actually improve the process of identifying risks, validating scalability, and protecting valuation.
1. Faster Analysis, Deeper Insights
Due diligence teams often sift through thousands of pages of documents, code reviews, and ticket backlogs. AI-powered retrieval-augmented generation (RAG) systems can surface the right evidence in seconds—turning weeks of manual searching into hours of structured analysis. This means investors get faster clarity and fewer blind spots.
2. Detecting Risks Humans Miss
AI can be trained to flag anomalies in code, contracts, or system logs that might otherwise go unnoticed. Examples include:
- •Hidden dependencies in monolithic codebases.
- •Unusual access patterns that suggest weak data isolation.
- •Cost inefficiencies buried in cloud billing exports.
Instead of replacing human experts, AI acts as a force multiplier, helping diligence teams focus on the most material risks.
3. Strengthening Compliance Reviews
For sectors like healthcare and finance, compliance is non-negotiable. AI can assist in:
- •Mapping policies to standards (e.g., ISO 27001, HIPAA, SOC2).
- •Checking for gaps in security configurations.
- •Comparing against benchmarks (e.g., WCAG accessibility standards).
This provides boards with assurance that compliance is not just a box-tick, but actively validated.
4. Transparency and Explainability
One risk in using AI for due diligence is the "black box" problem. That's why explainability matters. The right AI frameworks provide citations, traceability, and rationale for every risk flagged—so boards don't just see AI outputs, they see why.
5. The Bottom Line
AI doesn't replace due diligence—it enhances it. When applied correctly, it:
- •Speeds up reviews.
- •Surfaces hidden risks.
- •Strengthens compliance validation.
- •Provides more confidence for boards and investors.